IDEAS home Printed from https://ideas.repec.org/a/kap/atlecj/v38y2010i1p65-80.html
   My bibliography  Save this article

The Effect of Age Discrimination Laws on Age-Earnings Profiles of Postsecondary Faculty

Author

Listed:
  • Elda Pema

Abstract

This study investigates the impact of the abolition of mandatory retirement on earnings profiles of faculty in postsecondary institutions. The Age Discrimination in Employment Act (ADEA) excluded faculty from the protection of age discrimination laws until January 1, 1994, due to perceived adverse effects of this legislation on the academic labor market. After 1994, research has found that more faculty are remaining employed beyond the age of 70 and more institutions are offering early retirement plans. This study adds to the literature by finding that the policy change has steepened age-earnings profiles for cohorts entering the labor market, suggesting a stronger job attachment, and, potentially, efficiency gains. Copyright International Atlantic Economic Society 2010

Suggested Citation

  • Elda Pema, 2010. "The Effect of Age Discrimination Laws on Age-Earnings Profiles of Postsecondary Faculty," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 38(1), pages 65-80, March.
    • Handle: RePEc:kap:atlecj:v:38:y:2010:i:1:p:65-80
    DOI: 10.1007/s11293-009-9201-y
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1007/s11293-009-9201-y
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1007/s11293-009-9201-y?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Edward P. Lazear, 1983. "Pensions as Severance Pay," NBER Chapters, in: Financial Aspects of the United States Pension System, pages 57-90, National Bureau of Economic Research, Inc.
    2. Richard Dusansky & Clayton J. Vernon, 1998. "Rankings of U.S. Economics Departments," Journal of Economic Perspectives, American Economic Association, vol. 12(1), pages 157-170, Winter.
    3. Lazear, Edward P, 1979. "Why Is There Mandatory Retirement?," Journal of Political Economy, University of Chicago Press, vol. 87(6), pages 1261-1284, December.
    4. James Banks & Sarah Smith, 2006. "Retirement in the UK," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 22(1), pages 40-56, Spring.
    5. Ransom, Michael R, 1993. "Seniority and Monopsony in the Academic Labor Market," American Economic Review, American Economic Association, vol. 83(1), pages 221-233, March.
    6. Graves, Philip E & Marchand, James R & Thompson, Randal, 1982. "Economics Departmental Rankings: Research Incentives, Constraints, and Efficiency," American Economic Review, American Economic Association, vol. 72(5), pages 1131-1141, December.
    7. Orley Ashenfelter & David Card, 2002. "Did the Elimination of Mandatory Retirement Affect Faculty Retirement?," American Economic Review, American Economic Association, vol. 92(4), pages 957-980, September.
    8. Edward P. Lazear, 1982. "Severance Pay, Pensions, and Efficient Mobility," NBER Working Papers 0854, National Bureau of Economic Research, Inc.
    9. David Neumark & Wendy A. Stock, 1999. "Age Discrimination Laws and Labor Market Efficiency," Journal of Political Economy, University of Chicago Press, vol. 107(5), pages 1081-1110, October.
    10. Moore, William J & Newman, Robert J & Turnbull, Geoffrey K, 2001. "Reputational Capital and Academic Pay," Economic Inquiry, Western Economic Association International, vol. 39(4), pages 663-671, October.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. David Neumark, 2003. "Age Discrimination Legislation in the United States," Contemporary Economic Policy, Western Economic Association International, vol. 21(3), pages 297-317, July.
    2. Hilmer, Christiana E. & Hilmer, Michael J., 2004. "On The Return To Journal Quality, Coauthorship And Author Order Within Top Ranked Agricultural Economics Programs," 2004 Annual meeting, August 1-4, Denver, CO 20179, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    3. Tito Boeri & Jan van Ours, 2013. "The Economics of Imperfect Labor Markets: Second Edition," Economics Books, Princeton University Press, edition 1, number 10142.
    4. repec:eee:labchp:v:1:y:1986:i:c:p:305-355 is not listed on IDEAS
    5. Simon Rabaté, 2017. "Can I Stay or Should I Go? Mandatory Retirement and Labor Force Participation of Older Workers," Working Papers halshs-01521150, HAL.
    6. C Machado & Miguel Portela, 2014. "Hours of work and retirement behaviour," IZA Journal of European Labor Studies, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 3(1), pages 1-22, December.
    7. Adams, Scott J., 2004. "Age discrimination legislation and the employment of older workers," Labour Economics, Elsevier, vol. 11(2), pages 219-241, April.
    8. David McCarthy, 2003. "A Lifecycle Analysis of Defined Benefit Pension Plans," Working Papers wp053, University of Michigan, Michigan Retirement Research Center.
    9. Nishimura, Yoshinori, 2016. "Did Government Intervention on Firm’s Employment Policies Have an Effect on the Employment of Elderly Workers?," MPRA Paper 73444, University Library of Munich, Germany.
    10. repec:eee:labchp:v:3:y:1999:i:pc:p:3261-3307 is not listed on IDEAS
    11. Steven Stern & Petra Todd, 2000. "A Test Of Lazear’S Mandatory Retirement Model," Virginia Economics Online Papers 391, University of Virginia, Department of Economics.
    12. Simon Rabaté, 2017. "Can I Stay or Should I Go? Mandatory Retirement and Labor Force Participation of Older Workers," PSE Working Papers halshs-01521150, HAL.
    13. William J. Moore & Robert J. Newman & Geoffrey K. Turnbull, 2002. "The Experience-Earnings Profile: Productivity-Augmenting or Purely Contractual?," Departmental Working Papers 2002-13, Department of Economics, Louisiana State University.
    14. Todd Morris & Benoit Dostie, 2023. "Graying and staying on the job: The welfare implications of employment protection for older workers," Cahiers de recherche / Working Papers 15, Institut sur la retraite et l'épargne / Retirement and Savings Institute.
    15. Melody Lo & M. C. Sunny Wong & Franklin G. Mixon, 2008. "Ranking Economics Journals, Economics Departments, and Economists Using Teaching‐Focused Research Productivity," Southern Economic Journal, John Wiley & Sons, vol. 74(3), pages 894-906, January.
    16. Rauh, Joshua D. & Stefanescu, Irina & Zeldes, Stephen P., 2020. "Cost saving and the freezing of corporate pension plans," Journal of Public Economics, Elsevier, vol. 188(C).
    17. Heywood, John S. & Siebert, W. Stanley, 2009. "Understanding the Labour Market for Older Workers: A Survey," IZA Discussion Papers 4033, Institute of Labor Economics (IZA).
    18. Paulo Guimarães & Mariana Barbosa, 2022. "The state of Portuguese research in economics: 20 years after," Portuguese Economic Journal, Springer;Instituto Superior de Economia e Gestao, vol. 21(3), pages 283-309, September.
    19. Edward Lazear, 2011. "Wages, productivity, and retirement," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 18(1), pages 17-35, February.
    20. Sungbin Youk & Hee Sun Park, 2019. "Where and what do they publish? Editors’ and editorial board members’ affiliated institutions and the citation counts of their endogenous publications in the field of communication," Scientometrics, Springer;Akadémiai Kiadó, vol. 120(3), pages 1237-1260, September.
    21. John Gibson & David L. Anderson & John Tressler, 2017. "Citations Or Journal Quality: Which Is Rewarded More In The Academic Labor Market?," Economic Inquiry, Western Economic Association International, vol. 55(4), pages 1945-1965, October.
    22. Jang C. Jin, 2009. "Publications in mathematical economics and econometrics: ranking of Asian universities and an application of Zipf's law," Asian-Pacific Economic Literature, The Crawford School, The Australian National University, vol. 23(2), pages 116-122, November.

    More about this item

    Keywords

    Faculty retirement; Age discrimination in employment act (ADEA); Mandatory retirement; Age-earnings profiles; J30; J71;
    All these keywords.

    JEL classification:

    • J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:atlecj:v:38:y:2010:i:1:p:65-80. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.